If you’ve been waiting for airfares and hotel rates to come back down to earth, a new forecast from the Global Business Travel Association (GBTA), and Altour has some sobering news: raised prices are here to stay through 2026, with only modest relief expected in 2027. For travel coordinators managing tight budgets and executive expectations, this isn’t just a headline: it’s a planning reality you need to act on now.

What This Means for Business Travel

The GBTA forecast points to energy market disruption and rising operational costs as the main drivers keeping prices high. Airlines, hotels, and ground transport providers are all absorbing increased costs, and those increases are being passed directly to corporate travelers. The forecast does project some easing heading into 2027, but the key caveat is significant: many of these pricing pressures have become permanent features of the industry, meaning a return to pre-disruption rates is unlikely.

This shift changes the game for corporate travel programs. Budgets built on historical averages or pre-2022 benchmarks are almost certainly too low. Organizations that haven’t revisited their travel spend assumptions recently may be in for an unpleasant surprise when Q3 and Q4 invoices start arriving, or when they begin planning for next year.

Travel Coordination Take

  1. Revise your 2026 travel budget upward now. If your current budget was set using older benchmarks, request a mid-year review. Build in a buffer of at least 10 to 15% above historical averages to account for continued pricing pressure through year-end.
  2. Set realistic expectations with stakeholders. Brief department heads and finance teams on the GBTA outlook so travel cost increases aren’t a surprise. Framing this proactively protects your credibility and helps secure appropriate budget approval.
  3. Lock in rates where possible. Work with your travel management company or preferred suppliers to negotiate fixed or capped rates for high-frequency routes and hotel programs now, before further increases take effect.
  4. Start 2027 planning early, but stay conservative. While the forecast hints at some relief next year, don’t bank on significant savings. Build your 2027 budget with only modest improvement baked in, and treat any savings as a bonus rather than a baseline.
  5. Track spend more frequently. Monthly or even bi-weekly spend reviews will help you catch overruns early and make adjustments before they become budget crises. Ask your travel management company for more regular reporting if you aren’t already receiving it.

Key Takeaway

The era of cheap business travel isn’t coming back anytime soon, and the travel coordinators who plan accordingly will be the ones who keep their programs running smoothly. Protect your budgets, communicate early with finance, and lock in favorable rates while you can. The 2027 outlook offers a glimmer of hope, but smart planning starts today.